As the last week of Q3 2023 comes to a close, investors are looking ahead to the last quarter of the year. The US dollar has seen a strong rally in September, with EUR/USD trading below 1.05 today. Investors have bought the dollar and dumped stocks, as the Fed remains restrictive.
Despite this, one market has remained relatively stable – Bitcoin. Since April, Bitcoin has jumped from below $17k to above $30k, and has held on to most of its gains. This is a sign of strength not seen in other markets.
The Relative Strength Index has also revealed a bullish divergence, which supports the bullish case for Bitcoin. Furthermore, the current horizontal consolidation might be part of a bullish flag pattern. If so, a bullish breakout could lead to a rally equal to the one seen at the start of the year.
This is an exciting time for investors, and it will be interesting to see how the markets develop in Q4 2023.
